Early this morning SandRidge said it has set Dec. 13 “as the record date for the determination of the Company’s stockholders who are entitled to execute, withhold or revoke consents relating to the proposed TPG-Axon Consent Solicitation.”

SandRidge’s stock has seen an 80% fall since its IPO in November 2007, and Singh says today’s price is at least half of what he thinks it should be.

Friday’s letter was the second Singh sent last month, following his Nov. 8 missive which lashed out at the board. The whole things is worth a read, so take a look for yourselves, but here’s a sample paragraph:

One fact summarizes the appalling corporate governance practices of SandRidge – despite the single worst stock performance of any energy company, and among the worst stock performances in the entire US market, and massive discounts applied to the company because of management…payments to [CEO Tom] Ward from the company have totalled approximately $150 million over the past five years (astonishing, given the $3 billion market capitalization of the company).

In each year since the IPO, compensation to Mr. Ward has represented a sizable portion of company cash flow and earnings. Upon examining corporate governance at SandRidge, one can understand why stock performance has been remarkably poor, and the ‘management discount’ applied to the stock by the market is very high. Management’s incentives have been to take value from shareholders, rather than grow value for shareholders, and that is the only area in which they have done a spectacular job.

Analyst Duane Grubert at Susquehanna suggested in a note Monday this shareholder push could pave the way for a sale, and named Devon Energy Corp. (DVN) as one potential suitor. Grubert has a Positive rating and $12 price target for the stock.

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There are 9 comments

DECEMBER 3, 2012 2:38 P.M.

dpedge wrote:

My sentiment exactly.

DECEMBER 3, 2012 3:25 P.M.

Greg wrote:

Tom Ward and his cronies on the board of directors need to go. Ward is a pal of Aubrey over at CHK, so it doesn't surprise me the excesses Tom has lavished upon himself at the expense of shareholders.

DECEMBER 3, 2012 3:53 P.M.

SD Holder wrote:

What does "at least half of what he thinks it should be" mean? If it's at least half it could very well be 90%.

DECEMBER 3, 2012 4:24 P.M.

Sam Mamudi wrote:

To be clearer, SD Holder, here's what Singh wrote in his letter:

"We believe $12 to $14 per share in value is realistic and achievable – that represents 100% + upside from current stock levels of $6."

DECEMBER 3, 2012 8:21 P.M.

another sd holder wrote:

nobody is worth what tom ward is being pd or should i say stealing

DECEMBER 3, 2012 9:15 P.M.

Dan Daly wrote:

I don't own 6.5% but I will be voting with the people that do....

DECEMBER 4, 2012 4:18 A.M.

Anonymous wrote:

I am a holder of SD and back TPG-Axon or any other company that wants to dump Tom and his BOD. The company need's to be sold to a company, that can support the shareholders in makings this a great company.

DECEMBER 4, 2012 11:18 A.M.

Jay wrote:

GO go go Tom Ward.

DECEMBER 5, 2012 7:24 A.M.

Raj wrote:

I am a SD shareholder and I have a right to be here and say what I want. Having watched corporate America's abysmal performance over past two decades, I find that the CEO's and the entire boards have worked in collusion for their personal benefit. Tom Ward is merely a medium through whom the board represents shareholder interests. The absolute disregard these people have shown toward investors is pathetic. I firmly believe that a CEO fails to perform when the board itself is inadequate and inefficient. Therefore the entire board should be shunted out along with the CEO.

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